Pursuing Parkinson
Nephew Wilde
After a few drinks I find that I can, in a mellowed state of mind. be very liberal with my money. Yet in more sober moments (and there are some) I think (and I do not find the term derogatory) I am a miser. In this day and age often search for fallen pennies, my parsimonious nature is well rewarded but it is getting more and more unpleasant facing greedy waiters (this is why I prefer self-service restaurants) and traders who expect me to be lavish in my spending habits, Take my local garage, for instance, run by a public company, Wadham Stringer. They first sold me a car for £750 and had the gall to offer me only £525 for the same about nine months later (I got my full money back, however, because my solicitors found a discrepancy in the original sale agreement). Secondly, this garage rounds off its bills to the nearest (in its favour) penny. so three gallons at 364p a gallon costs E1.10.
Yet because people in general are more carefree with their money I find it more difficult to make ends meet. But one trick that I have learnt is that by running my hand down the back seat of a taxi the chances of finding the previous occupant's spilt coinage are 25 to 1. I fear the odds might lengthen so 1 now travel by underground. As for hidden assets in the money game, however, over the last year or so we have become used to cases of companies being taken over because of the huge land holdings. I remember, for in
stance, that 1 once held Stoneware (now subject of a bid) but I unfortunately sold before the directors disclosed holdings of 200 acres in the Midlands.
Another company with sizeable assets — though this is no secret — is Sir Lindsay Parkinson, Now 1 noticed recently the shares have been moving up and I find this a good opportunity for investment. Let me say a little about this civil engineering company, therefore. It has had an appalling record over the last few years,with 1971 profits sinking from £925,000 to £422,000 and last year a loss of £877,000 was recorded.
As with other construction companies Parkinson's problem has largely been one of fixed price contracts taken in an inflationary era, And last year this was exacerbated by the miners strike and the builders' dispute. In the current year it is a question of debate as to whether the second half will mark a turning point for the group and certainly the chairman, Mr D. P. Weiner says that increased allowances are being made when tendering.
Though' there is not much immediate cheer on the trading front I still feel that Parkinson has passed its nadir and there is plenty of recovery potential. Yet it is the property angle where I find particular encouragement. First Parkinson's assets were last valued in 1968 but the resulting surplus was not consolidated. If it had been, the asset backing would be 205p per share. Also there must be a good deal of scope for development of extensive land holdings in Wentworth. Parkinson owns Wentworth Golf Club, incidentally, and if anyone saw the course a few weeks ago they might have thought the bulldozers had arrived. No fears on this score — it was the result of yours truly playing an atrocious round and failing to replace divots.
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